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Special Coverage GM: IPO Prices at $33

It’s been called the most anticipated IPO since Google and on Wednesday GM priced its IPO at $33.

The offering will include 478 million shares of common stock. Including $4 billion of preferred stock and a greenshoe option, the total value of the IPO now stands at $15.8 billion, a record in the United States.

Late Tuesday, the size of the IPO was expanded by about 30 percent, another indication of the massive interest that has surrounded the once-troubled automaker's return to the marketplace. It was originally anticipated to price in a $26-29 range.

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The higher pricing on the stock sale represents a step toward recouping a $50 billion U.S. government rescue of the 102-year-old company, which had fallen from blue-chip status to bailout basket case in recent years.

But the upsized deal suggests investors now see an opportunity for profit. That is good news for stakeholders like the U.S. and Canadian governments and the United Auto Workers healthcare trust. It also bodes well for other auto industry IPOs.

GM, which lost $88 billion between 2005 and its 2009 bankruptcy, earned a $4.1 billion net profit in the first nine months of the year and is on track for its first full-year profit since 2004.

The successful completion of the IPO means the U.S. government's stake will immediately drop from 61 to 33 percent. It could fall further if certain warrants are exercised in the coming years.

CNBC's Kate Kelly tells the desk North American investors make up the vast number of investors, and that the top ten money managers are likely the big buyers. "I would guess it’s a who’s who of investors," she says.




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Trader disclosure: On November 17, 2010, the day this video was recorded, following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Finerman owns (AAPL); Finerman’s firm owns (GM); Finerman owns (DYN); Finerman's Firm Is Short (IWM); Finerman's Firm Is Short (SPY); Finerman's Firm Is Short (MDY); Finerman's Firm Is Short (IJR); Finerman's Firm Is Long Russell Puts; Finerman's Firm Is Long S&P Puts; Jon Najarian owns (DRYS); Jon Najarian owns (FSLR) put spread; Jon Najarian owns (LMD) calls; Jon Najarian owns (FIRE) calls; Grasso owns (ASTM), (BA), (BAC), (BWC), (C), (CSCO), (JPM), (LPX), (MOT), (MHY), (NDAQ), (PFE), (PRST); Terranova owns (UPL), (C), (PEP), (VRTS), (OXY), (GS), (POT), (AAPL), (ORCL), (MCD), (NKE)

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Stuart Frankel & Co and it’s partners own (AAPL)
Stuart Frankel & Co and it’s partners own (CSCO)
Stuart Frankel & Co and it’s partners own (CUBA)
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Stuart Frankel & Co and it’s partners own (HSPO)
Stuart Frankel & Co and it’s partners own (NWS.A)
Stuart Frankel & Co and it’s partners own (NYX)
Stuart Frankel & Co and it’s partners own (PDE)
Stuart Frankel & Co and it’s partners own (PFE)
Stuart Frankel & Co and it’s partners own (PRST)
Stuart Frankel & Co and it’s partners own (RDC)
Stuart Frankel & Co and it’s partners own (TLM)
Stuart Frankel & Co and it’s partners own (XRX)
Stuart Frankel & Co and it’s partners own (SDS)
Stuart Frankel & Co And Its Partners Own (UNM)
Stuart Frankel & Co and it’s partners are short (QQQQ)
Stuart Frankel & Co and it’s partners are short (MCD)
Stuart Frankel & Co and it’s partners are short (AAPL)

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Terranova is chief market strategist of Virtus Investment Partners, LTD.
Virtus Investment Partners own more than 1% of (ABAX)
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Accounts Managed By Kanundrum Capital Own (REE)
Accounts Managed By Kanundrum Capital Own (GDXJ)
Accounts Managed By Kanundrum Capital Own (HD)
Accounts Managed By Kanundrum Capital Are Long Euro
Accounts Managed By Kanundrum Capital Are Short (YEN)

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